JOMEC Journal Journalism, Media and Cultural Studies

Published by Cardiff University Press

Forty Years of the Return of Advertising in China (1979–2019): A Critical Overview

Giovanna Puppin

University of Leicester Email: [email protected]

Keywords Chinese Advertising Advertising History Advertising Industry Advertising Regulation Commercial Advertising Public Service Advertising Abstract

Despite advertising now being ubiquitous in China, the phenomenon is still considered to be relatively new. It was officially reintroduced after the Maoist years, thanks to the economic reforms and opening-up policy initiated by Deng Xiaoping in 1979. Advertising has seen tremendous growth over the past 40 years and is now acknowledged as an indispensable tool in the country’s economic expansion: it fuels domestic consumption and is the main source of income for the national media. In 2011, China became the second biggest advertising market in the world, but the Chinese authorities still have an ambivalent attitude towards it. Although advertising is a key creative industry in China and is strongly supported by the government, through dedicated plans and policies, it tends to be strictly aligned with the Party-State’s political agenda and, as a result, it is heavily regulated and required to help with the construction of a socialist spiritual civilisation. This article provides the first comprehensive and up-to-date critical overview of the 40 years since the return of advertising in China, addressing its history, growth, recent trends and government regulation, as well as the development of its counterpart for the common good – public service advertising.

Contributor Note

Giovanna Puppin is a Lecturer in International Advertising and Promotional Cultures (China) in the School of Media, Communication and Sociology, University of Leicester (UK). Her research expertise includes Chinese advertising and the creative industries, media and popular culture, country branding and soft power, on which she has written extensively. Since 2015, she has been Programme Director of the MA Media and Advertising, and in 2019 was nominated Associate Researcher at the National Centre for Cultural Innovation Research at Fudan University (Shanghai). She assumed the role of Principal Investigator for the project ‘CreAD: UK-China Partnership on Creative Advertising’, funded by the Arts and Humanities Research Council (AHRC) (February 2019–February 2020).

Citation

Puppin, Giovanna (2020), ‘Forty Years of the Return of Advertising in China (1979-2019): A Critical Overview’, JOMEC Journal 15, ‘Advertising China’, ed. Sally Chan and Rachel Phillips, 1-19. DOI: https://doi.org/10.18573/jomec.201

Accepted for publication: 07th July 2020

https://jomec.cardiffuniversitypress.org/ @JOMECjournal

Introduction also characterised by a series of paradoxes. As a result, in China’s big cities, it is quite With an estimated population exceeding 1.4 common to see billboards promoting a luxury billion people, one of the world’s highest gross lifestyle driven by consumerism (Fig. 1), but domestic products (GDP) and a total land also ones advocating the socialist core values area exceeding 9.6 million square kilometres, that are central to the CCP’s political agenda the People’s Republic of China (henceforth (Fig. 2) or the latest ‘clumsy’ propaganda the PRC or China) is the most populous and slogans (Fig. 3). second largest country and economy in the world. In 2011, China surpassed Japan to become the world’s second biggest advertising market after the United States (English.people.cn 2013).

Despite ‘commercial advertising’ (shangye guanggao 商业广告 or, more simply, guanggao广告) experiencing tremendous growth over the past 40 years and becoming ubiquitous in China, it has not always been welcomed in a country that still claims to be socialist. This was especially the case immediately after the Chinese Communist Party (CCP) came to power in 1949 and Figure 1. TMall’s neon billboards promoting ‘618’ throughout the height of the Cultural (referring to 18 June), China’s second-biggest Revolution (1966–76). Nonetheless, since its online shopping festival (Shanghai, Wujiaochang reintroduction as part of Deng Xiaoping’s tube station, June 2019). Photo by the author. process of reforms and opening up in 1979, advertising has proven to be indispensable to the country’s economic growth as it fuels domestic consumption by directing the increased spending power of the ‘new’ Chinese consumers. At the same time, advertising provides the major source of income for the traditional national media (television, radio, newspapers and magazines), as well as being vital to China’s core social- media platforms (Sina Weibo and Tencent WeChat) and e-commerce giants (Alibaba’s TMall, Tencent’s JD.com).

Nevertheless, in this context, the Chinese government still maintains its ambivalent attitude towards advertising, which is viewed Figure 2. A poster promoting ‘harmony’ (hexie 和 谐), one of the socialist core values, and a crucial as being linked to the country’s complex guarantor of the stability of the Chinese economy relations with the West, evoking spectres of and society (Shanghai, Nanjing Road, June 2019). the socialist/capitalist ideological divide, and Photo by the author. highlighting wealth inequality in a manner that might even lead to social unrest (Yu 1991; Gao 2003). China and advertising seem to be bound up in a ‘love/hate relationship’ (Puppin 2014, 192), which is persistent but 1 https://jomec.cardiffuniversitypress.org/ @JOMECjournal

task is carried out by ‘public service advertising’ (PSA, gongyi guanggao 公益广告), which developed in China as a socially responsible alternative to its commercial counterpart.

The year 2019 marked the 40th anniversary of the return of commercial advertising to Chinese soil. This resulted in a number of dedicated publications in Chinese,1 as well as official academic and institutional events in China.2 This article, in the context of this special themed issue of JOMEC Journal, seeks to fill a gap in the existing literature by providing the first comprehensive and up-to- date critical overview of Chinese advertising and its development over the past four decades, with particular attention paid to its history, growth and recent achievements, governance and regulation, and its counterpart for the common good – public service advertising. Figure 3. ‘Sweep away the black, get rid of the evil’ (saohei chu’e 扫黑除恶), a national campaign launched by the Chinese government History of Chinese advertising in May 2019. ‘Black’ stands for triad gangs and (origins–1979) illegal organisations, whilst ‘evil’ refers to nefarious elements in society (Shanghai, Tianping Road, June 2019). Photo by the author. Advertising in China is a phenomenon that is considered to be ‘both old and new. It is old It is precisely to compensate for the above because it has a very long history; it is new concerns of the Chinese authorities that because it did not reappear until the year advertising in China is not only officially seen 1979’ (Cheng 1996, 74). as a tool to promote brands, products and services, but also required to advocate The history of advertising in the country, as it themes of social interest, and to respond to is presented in official textbooks used in cultural globalisation through the revival and university advertising degree courses – most promotion of national culture. This specific of which are published in accordance with the Five-Year Plans3 – usually traces the roots

1 The magazine China Advertising (Zhongguo the China Association of National Advertisers guanggao 中国⼴告), for example, hosted a (CANA), was held at the China National dedicated anniversary section, which featured Convention Centre in Beijing. The conference was articles by and interviews with the most attended by more than 450 delegates from influential advertising academics and administrative and regulatory bodies, advertising practitioners who contributed to the return and agencies, media outlets, advertisers and development of advertising in China. advertising academics (Cnad.com 2019). 2 On 14 January 2019, the ‘China’s Advertising 3 Since 1953, China has devised Five-Year Plans 40th Anniversary Conference’ (Zhongguo in order to map the country’s long-term guanggao 40 nian jinian dahui 中国广告40年纪 strategies for economic and social development, 念⼤会), jointly organised by the China and to set growth targets for the years to come. Advertising Association (CAA), the China ‘Advertising’ was first mentioned in the 10th Five- Advertising Association of Commerce (CAAC) and Year Plan (2001–5), and since then some of the 2 https://jomec.cardiffuniversitypress.org/ @JOMECjournal

of the phenomenon back to ancient China. Modern advertising – intended strictly as a These first examples of advertising in a loose paid form of commercial promotion – is sense consisted of clan and tribal totems in believed to have spread since the middle of the mythical early dynasties of Xia and Shang the 19th century and to be linked to the two (2070–1046 BC). Advertising continued to Opium Wars (1839–42; 1856–60). This is develop in Imperial China during the Western when the Unequal Treaties imposed a Zhou Dynasty (1046–771 BC), when it took commercial flow of goods and capital to the the forms of goods displays and street exclusive advantage of Western powers, hawking; in the Spring and Autumn Period whose citizens enjoyed a privileged status (771–476 BC), wooden signboards started to and extracted concessions from the Chinese. appear; during the Tang Dynasty (618–907), In those years, foreigners arrived and settled popular advertising media included banners, in China with the objective of selling their lanterns and signboards; and in the Song goods to the local population and tapping Dynasty (960–1279), print advertising began into this promising market; they used to spread (Zhao 2008). advertising as a persuasive promotional tool. These first examples of modern adverts The first example of print advertising and appeared in foreign-run newspapers, written branding in China dates back to the Northern in both English and Chinese (Chen 2002). Song Dynasty (960–1127). It is a copper plaque, promoting sewing needles produced Another landmark in the history of Chinese by the Liu family store in Jinan, Shandong advertising was the opening of the first province, which was used to print wrappers advertising agencies at the beginning of the for their products. On the two sides, the text 20th century. They were concentrated in the reads: ‘Recognise the white rabbit outside the main centre of China’s commercial activities entrance’ (Ren menqian bai tu’er wei ji 认门 – the city of Shanghai. The so-called ‘Big Four’ 前白兔儿为记), referring to the signboard were the domestically owned China placed at the entrance to the shop (Fig. 4). Commercial Advertising Agency and the Consolidated National Advertising Co., the US firm Carl Crow Inc., and the British firm Millington’s Advertising Co. (Xu 1990). In the 1920s and ’30s, advertising witnessed its so- called ‘golden age’ (huangjin shidai 黄金时代 ), before the revolution. It appeared in a wide variety of media, from newspapers to billboards, from radio to neon signs, and its development was helped by the first wave of consumerism in the country. The most representative forms of advertising at the time were the so-called ‘calendar posters’ (yuefenpai 月份牌), which depicted beautiful Chinese women in Westernised and modern postures (Hestler 2005). This phase in the development of Chinese advertising was interrupted by the outbreak of the Anti- Japanese War (1931–45), and the Civil War

(1945–9) between the Communists (led by Figure 4. China’s first brand, Northern Song the CCP) and the Nationalists (led by the Dynasty (source: Huang, Ding and Liu 2006, 91). Chinese Nationalist Party, Kuomintang, KMT), which sought legitimacy to govern the country (Chen 2002). advertising teaching materials used in higher education have started to show on their covers their alignment with various Five-Year Plans. 3 https://jomec.cardiffuniversitypress.org/ @JOMECjournal

fundamental to promoting China’s economic Soon after the victory of the CCP and the growth and so was able to thrive. As a result, founding of the PRC on 1 October 1949, on 4 January 1979, the Tianjin Daily published advertising in China started to decline. As in the first advertisement after the Cultural every other socialist country, advertising was Revolution: it was a print advert for a range of dismissed as incompatible with socialist locally produced toothpastes (Fig. 5). ideals and useless in a state-controlled economy, where private enterprises were nationalised and goods rationed. Foreign participation in advertising activities was ended, and the advertising industry soon started to be affected by the ongoing construction of a socialist economy (Cheng 1996). By 1956, the 108 agencies present in Shanghai merged into the state-run Shanghai Figure 5. The ‘first’ advertisement after the Advertising Corporation (SAC, Shanghai shi Revolution (source: Huang, Ding and Liu 2006, guanggao gongsi 上海市广告公司) (Xu 1990). 280). During the Cultural Revolution (1966–76), advertising was accused of being the ‘Bible of Soon afterwards, the famous article ‘Restoring capitalism’ (ziben zhuyi de Shengyijing 资本 the Name of Advertising’ (Wei guanggao 主义的生意经) and declined to a low level. It zhengming 为广告正名), written by the was never officially banned or censored, as former Director of what was originally the demonstrated by commercial adverts for SAC, Ding Yunpeng, legitimised the return of industrial products and raw materials that advertising in China, listing a series of survived in those years and featured in official arguments in its favour (Ding 1979). Among textbooks (Sun 2007). Nonetheless, the mere these, the absence of advertising from word ‘advertising’ was taboo: even the SAC Chinese television was considered ‘a huge changed its name to ‘Shanghai Fine Arts waste’ (hen da langfei 很大浪费) in economic Company’ (Shanghai shi meishu gongsi 上海 terms. Advertising should not be accused of 市美术公司), as if it had to distance itself from deceiving or exaggerating; on the contrary, it a phenomenon considered to be ideologically should be considered a source of ‘knowledge’ polluted. (xuewen 学问), capable of promoting commercial exchange and improving The Chinese national media were requested business management. The author also to act exclusively as the mouthpiece of the highlighted the necessity of putting into Party; they soon became state-owned and practice the famous principle ‘To make started to promote mainly political messages. foreign things serve China’ (Yang wei Zhong An example of this phase of closure in the yong 洋为中用), but, at the same time, also of history of Chinese advertising is the spread of distinguishing between ‘capitalist advertising’ ‘propaganda posters’ (xuanchuan hua 宣传画 (ziben zhuyi guanggao 资本主义广告) and ), which promoted exemplary revolutionary ‘socialist advertising’ (shehui zhuyi guanggao models, the Eight Model Dramas and, more 社会主义广告). The latter had to be importantly, the cult of the Great Helmsman ideological, truthful and concrete in nature; it – Mao Zedong (Evans and Donald 1999). had to promote not only goods, but also official political ideology (Gao 2003; Gerth Advertising did not reappear until 1979, when 2013; Puppin 2014). the process of reform and opening up was launched by Deng Xiaoping at the Third Soon after the publication of Ding’s article, Plenum of the 11th Central Committee of the commercial announcements were broadcast CCP, held in December 1978 (Stross 1990; on television and radio and gradually started Cheng 1996). The so-called Open Door policy to promote foreign products. Foreign set new economic priorities, began to lift advertising agencies were readmitted into the trade barriers and even allowed some degree country, and the first one was the Japanese of conspicuous consumption. In this new firm Dentsu, which opened its representative atmosphere, advertising was recognised as office in Beijing in 1980 (Liu 2004). As history 4 https://jomec.cardiffuniversitypress.org/ @JOMECjournal

has demonstrated, advertising was back in owned, such as the aforementioned SAC, the China to stay. Beijing Advertising Corporation (BAC) and the Guangzhou Advertising Corporation (GAC). They were eager to learn from the experience Growth and Achievements of China’s of foreign agencies, first and foremost Japanese ones (Li 2016). In line with the Advertising Industry (1979–today) objective of promoting advertising-related knowledge – which became a new priority – Over the past 40 years, China’s advertising the industry magazines China Advertising industry has bloomed. Undoubtedly, its (Zhongguo guanggao 中国广告) and growth and the country’s economic miracle International Advertising (Guoji guanggao 国 are inextricably intertwined. The main 际广告) were founded in 1981 and 1985, conditions that allowed such rapid respectively. The China Advertising development include: the liberalisation of Association (CAA, Zhongguo guanggao xiehui trade and increased competition in the 中国广告协会) was established in Beijing in marketplace coming from both domestic and 1983. The same year, advertising began to be taught in Chinese universities. The first international business; the steady increases undergraduate programme was offered by in disposable income and spending power of Xiamen University, followed by the Beijing the so-called ‘new’ Chinese consumers; the Broadcasting Institute (today’s proliferation of e-commerce platforms and Communication University of China, CUC) in shopping opportunities that came with the 1988, and Shenzhen University in 1989 (Liu spread of online and mobile digital media; 2004). and government investment in the creative industries sector, to mention but a few. Phase 2. From 1992 to 2001, Chinese advertising entered a phase of rapid The development phases of the advertising development, which was linked to Deng industry since its return to the Chinese soil Xiaoping’s Southern Talks. In his famous tour can be identified chronologically as follows: to China’s Southern provinces in early 1992, phase 1: 1979–91; phase 2: 1992–2001; he prioritised and promoted the objective of phase 3: 2002–9; phase 4: 2010–today (Yao building a ‘socialist market economy’ (shehui and Weng 2019). zhuyi shichang jingji 社会主义市场经济),

which had a positive influence on the spread Phase 1. The years 1979–91 followed the return of advertising to China, and its initial of advertising, recognising its role as a stage of development. This phase was catalyst for economic development. Media characterised by decisions taken during the organisations were allowed to be run as Third Plenum of the Central Committee of the ‘business units’ (jingying danwei 经营单位), CCP, which marked the beginning of the rather than public units, and became policy of reform and opening up. In 1979, the increasingly commercialised, with advertising annual advertising revenue in China was 10 million yuan, accounting for 0.0025% of GDP; becoming a valuable source of income for there were ten advertising agencies, and an them (Zhao 1998). Advertising agencies also average of 4,000 people employed in the benefited from the expansion of enterprise industry. In 1991, revenue climbed to 3.509 autonomy. As anybody with registered capital billion yuan, making up 0.162% of GDP; there of 100,000 yuan could start an advertising were 11,769 advertising agencies with agency, their number tripled from 1,156 in 134,506 people working in the industry (Liu 1991 to 3,037 in 1992, and tripled again to 2004). This phase was marked by significant 11,044 in 1993 (Li 2016). It is worth growth, but also by the poor quality of highlighting that 1993 became known as advertising work, which was mostly ‘China’s advertising year’ (Zhongguo guanggao informative, used hard-sell strategies and nian 中国广告年), due to the unprecedented lacked creativity. ‘Domestic advertising agencies’ (bentu guanggao gongsi 本土广告 growth of the industry. Revenue hit over 13.4 公司) were either state-owned or collectively billion yuan (with an astonishing rise of 5 https://jomec.cardiffuniversitypress.org/ @JOMECjournal

97.57% over 1992 alone), advertising units constituted a big challenge for China, as it soared to 31,770, and the number of meant opening its doors to transnational employees reached 311,967 (Liu 2004). While advertising agencies (TNAAs), which were newspapers were the largest advertising much bigger, stronger and, therefore, more medium in the country throughout the 1980s, competitive. While in the 1990s multinational they were surpassed by television in 1995. advertising agencies mainly served global clients, in the 2000s they also started to Phase 3. The years 2002–9 are known as a attract domestic clients, by developing period of sustained and stable growth. The localisation strategies (Wang 2008). The key event in this phase was China’s entry into response from Chinese advertising the World Trade Organization (WTO) on 11 professionals was to position themselves as December 2001. The Chinese government the best connoisseurs of their own culture aimed to deregulate the national advertising and develop a form of ‘creative advertising sector, committing to lift, within four years, with Chinese elements’ (Zhongguo yuansu restrictions that confined foreign advertising chuangyi guanggao 中国元素创意广告) agencies to operating only through joint- (Puppin 2014). ventures (JVs) with a minority share that could not exceed 49%. From March 2004, foreign Phase 4. After the successful hosting of the advertising agencies were allowed to hold a Beijing Olympics in 2008 and the Shanghai majority share in JVs, as the share ceiling for World Expo in 2010, China’s advertising foreign partners was increased to 70%. The industry maintained positive stable growth following year, wholly foreign-owned (Table 1). enterprises (WFOEs) were gradually allowed to operate in advertising services (Keane and Spurgeon 2004). On a practical level, this

Table 1: China’s Advertising Industry’s Growth (2010–2019)

Advertising Annual Advertising Turnover Turnover Advertising Employees Year (Billion Yuan) Growth Business Units (People) (Percentage) 2010 2,340.50 14.67% 243,445 1,480,525 2011 3,125.60 33.54% 296,507 1,673,400 2012 4,698.00 50.31% 377,778 2,177,840 2013 5,019.75 6.84% 445,365 2,622,053 2014 5,605.60 11.67% 543,690 2,717,939 2015 5,973.41 6.56% 671,893 3,072,542 2016 6,489.13 8.63% 875,146 3,900,384 2017 6,896.41 6.28% 1,123,059 4,381,795 2018 7,991.48 15.88% 1,375,892 5,582,253 2019 8,674.28 8.54% 1,633,092 5,935,052

Source: Zhongguo guanggao nianjian (2010–2015); Zhongguo guanggao shichang baogao (2015– 2018); Lab Marketing Interactive (2019).

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This phase is characterised by significant (guanggao daguo 广告大国) and become a improvements in the artistic quality and ‘strong advertising country’ (guanggao creativity of China’s adworks, which attracted qiangguo 广告强国), prioritising quality over international attention and recognition. In size, and he lamented the lack of 2008, China was awarded its first Gold Lion at professionalism and talented practitioners the Cannes Lions International Festival of (Gov.cn 2013). Precisely in order to train Creativity, with the outdoor campaign graduates for the needs of this booming ‘Together in 2008, Impossible is Nothing’ (Yiqi market, China has been providing certification 2008, mei you bu keneng 一起 2008，没有 to advertising professionals through a 不可能), created by TBWA Worldwide national exam system since 2011. This Shanghai for Adidas (Fig. 6)4. To date, most practice stopped in 2016 (Gov.cn 2016a). award-winning advertising agencies at Cannes have been TNAAs, which operate in Throughout these years, the government China as either majority stake joint-ventures continued to support the advertising industry (JVs) with local agencies, or as wholly-owned in a number of ways, as well as setting agencies (Cheng 2010). specific targets in alignment with its Five- Years Plans. In 2012, for the first time, the SAIC issued the ‘Plan for the Development of the Advertising Industry during the ‘12th Five- Year’ Period’ (Guanggao chanye fazhan ‘Shi’er wu’ guihua 广告产业发展‘十二五’规划), covering the years 2011–5. The Plan noted the crucial role played by advertising in the economy and in society, and set the objectives of improving competitiveness, professionalism and internationalisation in the sector. It envisioned the creation of large, medium and small domestic advertising agencies, and began the construction of at least 15 ‘advertising industrial parks’ Figure 6. One execution of the Adidas advertising campaign that led to China being awarded its (guanggao chanye yuanqu 广告产业园区) first Cannes Lion (source: TheGuardian.com (Cinc.com.cn 2015). The intention was to 2008). foster future domestic leading players with the potential to compete in the global However, efforts to achieve China’s advertising market. In 2016, the SAIC issued ‘advertising dream’ were far from over. In the ‘Plan for the Development of the 2013, just a couple of years after China Advertising Industry during the ‘13th Five-Year’ became the second biggest advertising Period’ (Guanggao chanye fazhan ‘Shisanwu’ market in the world, Zhang Mao – Director of guihua 广告产业发展‘十三五’规划), covering the State Administration for Industry and the years 2016–20. Among its objectives Commerce (SAIC), the authority historically were: improvements to the services offered by overseeing advertising – gave a speech on the advertising agencies; increasing industry status of the domestic advertising industry. innovation; and the development of He emphasised the need for China to evolve advertising education and professionalism from being a ‘big advertising country’ (Gov.cn 2016b). It can thus be evinced that the

4 A couple of years later, in 2011, the campaign Sheung Yan (Ma Yan), Chairman of Asia Pacific ‘Hell and Heaven’ (Diyu yu tiantang 地狱与天堂), and Worldwide Creative Councils (JWT Shanghai), created by JWT Shanghai for Samsonite, allowed became the first Chinese jury president (outdoor China to take home its first ever Grand Prix Lion. category) at Cannes. In 2012, another significant event took place: Lo 7 https://jomec.cardiffuniversitypress.org/ @JOMECjournal

national plans of the Chinese government are By June 2019, China’s Internet users translated directly into specific plans for numbered 854 million, and the country’s advertising. Internet penetration rate increased to 61.2%. Some 847 million Chinese used their mobile Looking at advertising media, this phase is phones to surf the Net, making up 99.1% of characterised by the emergence and total Internet users (Cnnic.com 2019). While dominance of online and mobile the portability and the mobility typical of the technologies, and the consequent decline of mobile Internet era contribute to addressing traditional media. In 2005, online advertising the urban-rural digital gap, Chinese social surpassed magazines in advertising billings, media are disaggregated and users are not becoming the fastest-growing area (Cheng homogeneous. 2009). Starting from 2011, online advertising has had an average yearly growth of 40%. In The West is increasingly familiar with China’s 2016, its business volume was bigger than the core social media platforms – Weibo, the sum of advertising on the four traditional country’s most popular micro-blogging site, media, and the following year, by hitting 300 and WeChat, the most popular messaging billion yuan, it contributed almost half of the app (and much more) – but there are actually yearly turnover of China’s advertising industry hundreds, if not thousands, of other apps in (Yao and Weng 2019). the contemporary ecosystem (Graph 1).

Graph 1: 2019 China’s Social Media Landscape. (Source: Kantar CIC Intelligence 2019). 8 https://jomec.cardiffuniversitypress.org/ @JOMECjournal

All-pervasive and increasingly refined mobile historically been the aforementioned SAIC, technology allowed the blossoming of new which is authorised by the State Council to apps and platforms, such as TikTok (Douyin guide and monitor all advertising agencies, 抖音), a short-video streaming platform media and advertisers on Chinese soil. The targeting Generation Z (below 24 years old), SAIC has legal powers granted by the state, so and Little Red Book (Xiaohongshu 小红书), it drafts and implements regulations but also China’s most trusted shopping platform for punishes false and illegal advertising (Gao luxury items, especially fashion and 2007). It has an Advertising Supervision and cosmetics. If brands want their voice to be Administration Department (Guanggao jiandu heard in China’s loud social media landscape, guanli si 广告监督管理司), as well as local they can choose from a wide range of branches at various administrative levels. The advertising forms: from search engine SAIC works alongside other authorities – such advertising (whose largest market share is still as the Ministry of Industry and Information maintained by Baidu 百度) to sponsored Technology (MIIT), the State Administration of content pushed by Chinese KOLs (Key Radio, Film and Television (SARFT), the Opinion Leader); from programmatic General Administration of Press and advertising (mostly controlled by the top ad Publication (GAPP), the Ministry of Health networks in China owned by the so-called (MOH) and the State Food and Drug BAT – Baidu, Alibaba and Tencent) to AI- Administration (SFDA) – to issue rules and Generated content, delivered by avatars in the policies related to advertising appearing form of partners or celebrities (Kantar CIC either in specific media outlets, or promoting Intelligence 2019; De Gennaro 2019). These – specific products. The fact that a variety of and other – advertising forms have entered government agencies hold jurisdiction over Chinese people’s daily routine and drastically advertising makes Chinese advertising changed the way they live, socialise and regulation extremely extensive and difficult to consume. enforce (Gao and Sion 2009). Since 2018, as part of China’s massive government One of the long-standing, ongoing priorities institutional reform, the SAIC’s functions have for the Chinese authorities is to strengthen been taken over by the State Administration the advertising regulation system, which still for Market Regulation (SAMR, or Guojia fights many cases of false and illegal shichang jiandu guanli zongju 国家市场监督 advertising (more than 41,300 cases were 管理总局). 5 investigated in 2018) and lags far behind the dramatic and rapid changes that have The first advertising regulations in China can happened in the mediasphere. Advertising be traced back to the early 1980s: these were regulation needs to be expanded constantly, the ‘Provisional Regulations on the in order to deal with new issues and Administration of Advertising’ (Guanggao challenges, including the increasing number 广告管理 行条例 of consumer complaints. guanli zanxing tiaoli 暂 ), which resulted from a process of self- adjustment of legal and administrative Advertising Regulation systems after the revolutionary years. They were revised and formally adopted in 1988, The primary government regulator and as the ‘Detailed Implementing Regulations on administrator of advertising in China has the Administration of Advertising’ (Guanggao

5 Illegal advertising cases in the food industry Fines totalling 700 million yuan were imposed reached 3,858, an annual increase of 23.7%; last year (Xinhuanet.com 2019). illegal advertising cases on the Internet numbered 23,102, an annual increase of 55%. 9 https://jomec.cardiffuniversitypress.org/ @JOMECjournal

guanli tiaoli shexing xize 广告管理条例施行 violates the law, threatens public order 细则). Despite their importance, they were or harms the public interest is also prohibited; rather vague and general (Yu 1991).

- advertisements must be clearly and To further strengthen the legislation in the explicitly labelled, and be advertising sector, in 1994 the National distinguishable from surrounding People’s Congress (NPC) promulgated the content; ‘Advertising Law of the People’s Republic of

China’ (Zhonghua renmin gongheguo - the use of endorsements and guanggao fa 中华人民共和国广告法), effect- testimonials is now prohibited for tive from 1 February 1995. The 1994 Law, health-related products/services, and comprising six chapters and 49 articles, children under the age of ten cannot act represented a milestone in China’s as endorsers; the responsibilities and advertising legislation. Nonetheless, it was liabilities of endorsers are now clearer often integrated with further ‘notices’ (tongzhi and minors are better protected; 通知), especially as far as the tobacco, alcohol and pharmaceutical industries were - as far as Internet advertising is concerned (Gao 2007; Gao and Sion 2009). concerned, advertisers are not allowed to send advertisements via email In the past two decades, the dramatic without permission from the recipients, changes in the media environment, in the and email advertisements must include advertising industry, as well as among opt-out links; advertisers may not use increasingly savvy consumers, in China disruptive tactics to entice users to click encouraged practitioners and scholars to call on links, either in emails or on for an update to the 1994 Law, which was webpages; pop-up advertisements must finally approved by the 14th Meeting of the be closable with a single mouse; Internet Standing Committee of the 12th National Service Providers (ISPs) now have the People’s Congress on 24 April 2015, and burden of monitoring and shutting down released for implementation from 1 illegal ads on their platforms; September 2015. The Law was further amended in 2018, but simply to change the - anyone can file a complaint against a name of the SAIC to the SAMR. particular advert and, if the authorities responsible for investigating violations of The revised Law consists of six chapters and the law reported by third parties fail to 75 articles. Compared to the original law, it do so, they may be punished; adds 33 articles, revises 37 and deletes three. While it retains an emphasis on the need for - tobacco and prescription drugs advertising to be true, lawful and aligned with advertising (both online and offline) is the construction of a socialist spiritual prohibited; civilisation, it imposes much stricter restrictions and controls on advertising, as - advertisements from businesses follows: operating in certain industries (medical treatments, pharmaceuticals, foods for - advertising information has to be special medical purposes, medical accurate, clear, understandable; the use devices, pesticides, veterinary drugs, of superlatives is prohibited; the use of dietary supplements etc.) now require China’s state symbols (such as the specific approval. national flag and names of government organs) plus any content that is The Law also provides a clearer definition of obscene, superstitious, incites violence, false advertising and lists typical instances.

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Last but not least, another novelty is that it the Central Committee of the CCP) launched includes public service advertising within its the first national PSA campaign, ‘China’s Good sphere of action, encourages related activities Manners’ (Zhonghua hao fengshang 中华好风 to promote the country’s socialist core values 尚), which was aimed at revitalising traditional as well as civilised behaviours, and makes the Chinese values (Zhang 2004). It was followed media responsible for the broadcast of PSAs. by other monthly thematic PSA campaigns, which are examples of organised, planned It is worth highlighting that advertising in and far-reaching activities that marked the China is additionally regulated through a self- development from a ‘spontaneous’ (zifa 自发) regulatory system, as exemplified by the ‘Self- regulation of the Advertising Industry’ phase to a ‘conscious’ (zijue 自觉) phase in (Guanggao hangye zilü guize 广告行业自律规 Chinese PSAs (Gao 1999). 则) issued by the CAA in 1994 and amended in 2008. Moreover, there are moral and The birth of PSAs in China met the authorities’ ethical regulations governing advertising, need to counterbalance the excessive such as the ‘Code of Ethics in Advertising’ ‘material civilisation’ (wuzhi wenming 物质文 (Guanggao huodong daode guifan 广告活动 明) brought about by commercial advertising 道德规范) issued by the SAIC in 1997. Lastly, with the much coveted ‘spiritual civilisation’ there are also ideological regulations, such as (jingshen wenming 精神文明). While the first the ‘Self-regulation of Advertising Promoting a refers to the accumulation of wealth, the Spiritual Civilisation’ (Guanggao xuanchuan latter refers to a kind of ethical and moral jingshen wenming zilü guize 广告宣传精神文 code composed of patriotism, collectivism 明自律规则), which started in the late 1990s. and socialism, but also family values and professional ethics, as well as revolutionary ideals, good education and a sense of Public Service Advertising discipline (Lewis 2002; Barme ́ 2013).

The origins of Chinese public service Throughout the years, the themes of PSAs advertising are commonly traced back to have broadened, in order to include the 1986, when the first TV PSA, ‘Save Water’ following categories: social education (e.g. (Jieyue yongshui 节约用水), was jointly morality in employment), public service (e.g. sponsored by Guiyang Television and the AIDS prevention), environmental protection local Office for Water Saving (Gao 1999). A (e.g. conservation of natural resources), year later, China Central Television (CCTV) charity and aid (e.g. disaster relief), as well as launched the daily PSA programme ‘Wide and government policies (e.g. fighting corruption) Spread’ (Guang’er gaozhi 广而告之), in order (Zhang 2004). Following President Xi Jinping’s call for an ‘ecological civilization construction’ to promote positive behaviour, improve people’s values and morality, and encourage (shengtai wenming jianshe ⽣态⽂明建设), new social trends (Wang and Shu 2000). The environmental protection PSAs have become programme played such a fundamental role an increasingly important category, endowed in helping the public recognition of PSAs in with the duty to stimulate rational and healthy China that it can be considered equivalent to consumption, promote green lifestyles and the American AdCouncil. eco-friendly products (Puppin, 2020).

In 1996, the SAIC and the Guidance The persuasive strategies employed by PSAs Commission on Building a Spiritual are much subtler and more symbolic if Civilisation (GCBSC, Zhongyang jingshen compared to old-style propaganda, as PSAs wenming jianshe zhidao weiyuanhui usually make extensive use of emotional bangongshi 中央精神文明建设指导委员会 appeals to gain empathy from the audience 办公室, which is under the direct control of (Cheng and Chan 2009). While, in the past, it

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was mainly the government that provided the (shangye hua 商业化), resulting from funding for PSA activities in China, nowadays, companies being able to add their name and the resources come from enterprises and logo at the end of PSAs (Puppin 2009b). media, as well as the government. PSA Another is the ongoing politicisation of PSAs. campaigns are initiated by the Party-State, In this sense, the most representative but their funding, production and broadcast example is surely the ‘Eight Honours and are only made possible through Eight Disgraces’ (Barong bachi 八荣八耻) collaborations between media outlets, campaign, which was launched in 2006 by advertising agencies and enterprises that are former President Hu Jintao in an attempt to given incentives to support PSA activities establish exemplary models for all Party (Puppin 2009a; Stockmann 2011; Liu and He officials and society as a whole. A more recent 2014). example is constituted by the billboards that blanketed the whole country to promote the According to the ‘Notice for the Wide Diffusion ‘Chinese dream’ (Zhongguo meng 中国梦), in of Public Service Advertising’ (Guanyu zuohao alignment with current President Xi Jinping’s gongyi guanggao xuanchuan de tongzhi 关于 famous call to implement a great 做好公益广告宣传的通知), jointly promul- rejuvenation of the Chinese nation under the gated by the SAIC and three other guidance of the CCP, which was launched in departments in 1997, all traditional 2013 (Fig. 7). advertising media must reserve for public service advertising at least 3% of the total annual amount of time/space they allocate to commercial advertising. Quite recently, in 2016, this Notice was superseded by the ‘Provisional Regulations for the Promotion and Administration of Public Service Advertising’ (Gongyi guanggao cujin he guanli zanxing banfa 公益广告促进和管理暂行办 法) (Samr. gov.cn 2016). The latter established that promoting PSA activities falls within the remit of all media. PSAs have to be distinct from commercial advertising and corporate social responsibility (CSR). In the case of a Figure 7. One of the most iconic billboards company sponsoring PSAs, neither the name promoting the ‘Chinese dream’ campaign of the product/service nor other detailed (Beijing, side-street in Haidian district, June information about the company (e.g. address 2014). Photo by the author. and website) can be displayed. The name and logo of the company cannot occupy more The crucial role played by PSAs in China has than 1/5 of the layout in print PSAs, or more been recognised and fostered by the than 1/5 of the advertising length in radio and authorities in a number of ways. In 2010, for audiovisual PSAs. The Regulations also example, the National Innovation and specified clearer administrative duties and Research Centre for Public Service stricter controls on PSAs activities. In addition, Advertising (Quanguo gongyi guanggao the aforementioned Law also regulates PSAs, chuangxin yanjiu jidi 全国公益广告创新研究 thus confirming the intentions of the Chinese 基地, authorised by the former SAIC) was authorities to create a healthy and regulated funded and hosted by the Communication environment for non-profit advertising. University of China, in Beijing. So far, the

Centre has published two volumes of the Beyond a lack of funding, a series of other Yearbook of Chinese Public Service problems is afflicting PSAs in China. One of Advertising (Zhongguo gongyi guanggao them is increasing ‘commercialisation’ 12 https://jomec.cardiffuniversitypress.org/ @JOMECjournal

nianjian 中国公益广告年鉴，1986–2010 and 2011–13), which collect contributions As a result of increasing competition, there from the most influential academics and have been noticeable improvements in the practitioners in the field. It is worth quality and creativity of Chinese PSAs (even mentioning that the International Advertising though there is still a significant gap Institute (IAI) China Advertising Works compared to commercial advertising). In Yearbook (IAI Zhongguo guanggao zuopin 2013, for example, the TV PSA ‘Takeaway’ nianjian IAI 中国广告作品年鉴)6 has, since its (Dabao pian 打包篇), created by Saatchi & inception in 2000, included a specific section Saatchi China for CCTV, was awarded a on PSAs in each volume, despite most of the Bronze Lion at the 60th edition of the Cannes collected adworks being commercial Festival. This first international recognition advertising campaigns. marked a milestone in the history of Chinese PSAs. The PSA tells the story of an ageing Starting in 2010, the China International father, who starts suffering from Alzheimer’s. Advertising Festival (CIAF, Zhongguo guoji Despite often forgetting things, he still guanggao jie 中国国际广告节) has organised remembers the love he has for his son. the annual ‘Yellow River Award’ (Huanghe jiang 黄河奖). The latter is exclusively Following the rise of online and social media dedicated to PSAs entries and is supported advertising, there has been a proliferation of jointly by the CAA and the leading national digital PSA activities and campaigns. For liquor brand, Moutai (Maotai 茅台). example, in 2017, Tencent (Tengxun 腾讯) – the tech leader creator of WeChat – launched Since 2013, PSAs started to be broadcast the online PSA competition ‘Wo shi chuangyi during the CCTV’s Spring Festival Gala, the ren 我是创意人’ (literally ‘I am a creative’, but country’s biggest TV event of the year. In officially translated in English as ‘Create for particular, the themes of this new category of Good’) as part of its corporate social 7 PSAs have touched upon the importance of responsibility plans . This constitutes a going back home to spend Chinese New Year representative example of how technology is with the family and, in this way, contributed to constantly shaping and improving the ways in the construction of happiness through the which social causes are advertised and revival of Chinese traditional culture and promoted in contemporary China. values, as well as a sense of national cultural unity (Puppin 2018). Conclusions

This article has offered a critical overview of the turbulent history of advertising in China, from its origins to the contemporary era. Despite the phenomenon witnessing its golden age in the 1920s and 1930s, its development suddenly halted during the years of the Cultural Revolution (1966–76), when propaganda took over the national Figure 8. Closing screenshot of China’s ‘Takeaway’ media, in alignment with the political and PSA. The final sentence claims: ‘He forgot many ideological priorities of that era. The return of things, but he never forgot he loves you’ (source: advertising in China in 1979 has to be CCTV Chinese International 2014).

6 In 2016, the Yearbook changed its name to the Yearbook (IAI guanggao zuopin yu shuzi yingxiao IAI Advertising Works and Marketing Cases nianjian IAI 广告作品与数字营销年鉴). 7 https://createforgood.qq.com 13 https://jomec.cardiffuniversitypress.org/ @JOMECjournal

understood in the renewed context of aligning them with its Five-Year Plans and economic reforms and opening up, which has setting ambiguous objectives, as well as allowed it to thrive up to now. improving existing regulations in order to create a healthy advertising environment – a Within the last 40 years, older generations of task that still proves to be challenging in such Chinese have again become familiar with the an ever-changing context. On the other hand, phenomenon of advertising that, previously, the Chinese government forces advertisers to they viewed rather suspiciously (as they were fulfil the ideological duty of building a socialist told to do so). New generations of young spiritual civilisation, and therefore makes Chinese might not be entirely aware of the them responsible for improving the ‘quality’ ‘case’ that had to be made in order to restore (suzhi 素质) of Chinese citizens, forging new the name of advertising in the 1980s and ’90s, exemplary models and revitalising political which today allows them to consume and priorities. As illustrated here, this task usually experience advertising on a daily basis, first falls within the remit of public service and foremost through their smartphones. advertising, which emerged as a socially responsible alternative to its commercial The ideological aspects related to the return counterpart. of advertising in a country like China – a country that still proclaims itself to be Given the recent rapid growth of advertising socialist – are truly fascinating, and provide on Chinese mobile and social media, and the an interesting and unique case study in the increasing international recognition of academic literature looking at advertising in a advertising creativity ‘with Chinese global context. As this article has characteristics’, it is clear that, as long as demonstrated, the Chinese government still advertising is considered a thermometer for holds an ambivalent attitude towards economic and social advancement, China will advertising. On the one hand, it acknowledges keep investing in it in order to make its its crucial role in economic terms, and ‘advertising dream’ come true. therefore supports advertising activities by

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